Federal Manager's Daily Report

Agencies generally used sole-source or limited competition

approaches to issue new contracts for Iraqi reconstruction


and generally complied with applicable laws and regulations,

but that’s not always the case when issuing task orders under

existing contracts, the General Accounting Office has said

following a review of 100 agency-awarded contracts representing

$3.7 billion.

GAO said the Army needs to ensure compliance with

requirements when issuing task orders to reduce monetary

risk and recommended that the Department of Defense “develop

a strategy to improve the delivery of acquisition support in

any future operations.”

Task orders under existing contracts legally satisfy

competition requirements if they are within the scope, period

of performance, and maximum value of a properly awarded

underlying contract, said GAO.

But it said it found several instances of contract orders

outside of those guidelines. For example, to obtain media

development services and various subject matter experts the

Defense Contracting Command-Washington placed two orders

using a management improvement contract where the neither of

the orders involved management improvement.

The work should have been awarded using competitive

procedures or supported by a justification for other than full

and open competition, said GAO.